Akzo Nobel to Divest Nobilas Business

PRESS RELEASE: Akzo Nobel has announced that the company intends to divest its Nobilas Claims & Fleet solutions business to the UK-based Innovation Group.

Amsterdam, the Netherlands, October 11, 2007 — Akzo Nobel has announced that the company intends to divest its Nobilas Claims & Fleet solutions business to the UK-based Innovation Group.

Established as a stand-alone activity in 2004, Nobilas combines leading car repair process management skills with claims management and incident services. Expansion has been swift, with the business now employing around 300 people across Europe and North America. The business handles an annual volume of more than 300,000 repairs and services, and the managed repairs represent a value of around EUR 190 million.

“Nobilas has grown remarkably well in a relatively short time,” said Akzo Nobel CFO Rob Frohn. “But it no longer fits in with Akzo Nobel’s strategy as Nobilas increasingly moves towards non-paint related outsourcing activities. We believe that the Innovation Group is a better owner for continuing what Nobilas has built up.”

Nobilas General Manager Geoff Bullen: “Nobilas is well positioned to take advantage of an increasing international market trend towards the outsourcing of vehicle damage claim related services. Operating under more focused ownership will offer better opportunities for the business to accelerate its growth momentum and continue into the next phase of its development.”

in the Netherlands, Nobilas also has offices in Belgium, the United Kingdom, France, Spain, Germany and the United States. The majority of the business’ 300 employees will be transferred to the Innovation Group, which is headquartered in Whitely, UK, and is a leading solution provider to the global insurance industry.

deal is subject to consultation with relevant employee representative bodies in various countries and is due to be completed in the fourth quarter of 2007.